Angi (ANGI) Q4 2025 earnings summary

Executive summary

• Achieved a significant turnaround by doubling EBITDA and halving capital expenditures over three years, shifting from negative to positive free cash flow.

• Q4 2025 operating income rose 175% year-over-year to $5.9M, with adjusted EBITDA up 25% to $39.7M, despite a 10% revenue decline to $240.8M due to a 79% drop in Network Revenue following the homeowner choice transition.

• Improved customer metrics: homeowner NPS up 30+ points, churn down 30%, customer success rates up 20%, and repeat rate turned positive in Q4.

• Gave up $500M in lower-quality revenue to focus on higher-margin, sustainable growth.

• Since its March 2025 spin-off, 19.9% of shares outstanding were repurchased for $138M.

Financial highlights

• Sequential revenue improvement of 700-900 basis points year-over-year; Q1 guidance at -1% to -3% revenue growth, Q2 expected flat to slightly down, with mid-single-digit growth in the second half.

• FY 2025 operating income reached $65.4M, up from $21.9M in FY 2024; adjusted EBITDA was $140.1M, down from $145.3M.

• FY 2025 revenue was $1,030.5M, a 13% decrease from $1,185.1M in FY 2024.

• Proprietary revenue grew 17% in 2025 and 23% in Q4; network channel remains a drag but is stabilizing.

• Free cash flow for FY 2025 was $45.5M, down from $105.4M in FY 2024.

Outlook and guidance

• Full-year 2026 revenue growth guided to low single digits (1-3%), with proprietary channels expected to grow high single to low double digits.

• Q1 revenue expected at -1% to -3%, Q2 flat or slightly down, with acceleration to mid-single-digit growth in the second half as network channel stabilizes.

• Revenue growth is expected to return in FY 2026 following the completion of the homeowner choice transition.

• Brand marketing spend returning to 2024 levels, expected to drive incremental revenue with a lag; three-quarters of payback expected in-year.

• No expectation of SEO or network channel recovery embedded in guidance; focus is on proprietary growth and brand investment.